This is a story of a brother A and his sister L, who are still among us today at Gracepoint.
After getting all his money ripped off by his sister from the Carnival incident and the Library incident, and after getting his dignity destroyed by the House incident, the same brother A had good reasons to be skeptical. After months of careful saving, he had again collected about $20 for his life savings, and this time, he wasn't going to be fooled so easily.
Then one day, sister L came up to him and suggested that he deposit his money into her bank.
"No way!" he said, "I'm not going to be fooled again."
Sister L explained, "You don't understand. You can actually make money on banks. They have this thing called interest."
Brother A was very skeptical, but sister L carefully explained how banks invest the money, and then give returns on the interest. She explained that this was quite a normal thing, and that he would get back 10% interest if he deposited his money into her bank for 3 months.
This was a new kind of thing for brother A. In the previous experiences, brother A was duped into purchasing something or getting fined. But never was he given the choice of earning money. So brother A decided that he's going to deposit the money into the Bank of L. This time, brother A wrote this down so that he won't forget like he did for the Library incident.
Three months later, he went to sister L and asked for his $22.
"I don't have it," said sister L.
"What? What do you mean?"
"Your money is currently invested. That's how banks work. Come back next month, and I'll have it."
So brother A went back next month, but the same story was given. This happened again and again until brother A eventually forgot about it and stopped asking for the money.
Many experts claim that this incident was the beginning of the credit crisis that we face today.